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Allen v. Lindstrom, Sup Ct of Virginia (1989) (p. 12)a. Does a real estate agent owe a duty to a prospective purchaser to communicate a purchase offer to a seller, where the agent is acting as the exclusive real estate broker for the seller?b. Lindstroms owned property. Allens and McGowans were both prospective purchasers. Allens had made first bid; rejected by sellers as too low. They asked the seller’s broker to “keep them informed of any activity.” McGowans made an offer through their agent. Seller’s agent informed the Allens; Allens made another offer, which was accepted by sellers. Later, sellers learned that the McGowan K would have had more favorable terms, so they dishonored the Allen K and sold to McGowan.c. Undisputed that the sellers’ agents failed to disclose all relevant facts to the seller.d. Agency is the relationship which results from the manifestation of consent by one person to another that the other shall act on his behalf and subject to his control, and the agreement by the other so to act.1. Burden of proof is on the one who alleges agency2. No presumption that agency exists; persons are legally presumed to act for oneself and not as agent for another.e. Undisputed that Coldwell Banker/Rush was the sellers’ agent. No evidence that Rush was the Allens’ agent. However, award of specific performance to fulfill the Allen K.

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